In principle no because it was just a mechanism to distribute the global sum. There was also a practice payment paid (basic practice allowance) which for new entrants meant you had to be at least one kilometre from the nearest pharmacy or you didn't get it. It was this that was surrendered for control of entry as a two tier fee was paid. The sliding scale on cost was reduced to 5% so part of that sum of money went into the fee structure..
In actuality however, big dispensing businesses made lamentable profits when purchase profit was taken out. That is not the case now. Small pharmacies had some sort of support from the two tier fee and the essential small pharmacies allowance.
Certainly small pharmacies found it easier to make a living on lower dispensing volumes, particularly as 40% of their turnnover was OTC as opposed to probably 10% now.
However, before we hark back to the "good old days" the white paper has significantly more support now than the Nuffield report of the 1990's which was intended to encourage a more clinical approach from community pharmacy.
It didn't.



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